Croatia gets EU money for constructing floating LNG terminal

Croatia plans to complete an LNG terminal on the island of Krk in 2019. Its capacity is seen at around two billion cubic metres of gas a year, with Croatia targeting central European markets as well as domestic.Reuters | February 18, 2017, 11:29 IST

ZAGREB: Croatia will receive 102 million euros ($109 million) for the construction of a floating liquefied natural gas (LNG) terminal in the northern Adriatic, Energy and Environment Minister Slaven Dobrovic said on Friday.

"We have confirmation that we will get non-refundable 102 million euros ... Security of gas supply is definitely confirmed with this project," Dobrovic said on the ministry's website.

Croatia plans to complete an LNG terminal on the island of Krk in 2019. Its capacity is seen at around two billion cubic metres of gas a year, with Croatia targeting central European markets as well as domestic.

The project is planned to be funded by interested strategic investors with the help of EU funds. The overall value of the terminal is assessed at some 350 million euros.

The terminal is among projects the European Union sees as important to its efforts to enhance energy security and reduce dependence on Russian gas.

Croatia had originally aimed to construct a land-based terminal with three times higher capacity than the floating one, but such plans were now put on hold depending on gas demand in the future.